SERVICES MARKEITNG

MCQ QUESTIONS
Which of the following statements about service marketing is true?
A. Services are always tangible in nature
B. Services cannot be stored for future use
C. Services do not require interaction with customers
D. Services are not subject to quality variations
Service blueprinting primarily focuses on:
A. Designing physical products
B. Visualizing the service process from the customer's perspective
C. Maximizing production efficiency
D. Ignoring service failures
Environmental scanning in service marketing involves analyzing:
A. Only competitor actions
B. Only internal capabilities
C. Both external trends and internal capabilities
D. Only customer feedback
Effective service delivery involves:
A. Maximizing customer inconvenience
B. Standardizing service experiences for all customers
C. Meeting or exceeding customer expectations
D. Minimizing employee training efforts
Which of the following is NOT a classification of services?
A. Professional services
B. Consumer goods
C. Retail services
D. Hospitality services
Targeting in service marketing refers to:
A. Providing services to anyone who requests them
B. Selecting specific market segments to serve
C. Ignoring market trends
D. Maximizing shareholder wealth
Service market segmentation involves:
A. Treating all customers the same
B. Dividing the market into distinct groups with similar needs and preferences
C. Ignoring customer feedback
D. Maximizing production costs
Customer expectations refer to:
A. The actual service provided
B. The customer's perception of the service received
C. The service provider's perception of the customer
D. The price of the service
Positioning in service marketing refers to:
A. Setting prices based on production costs
B. Communicating the unique value proposition of the service
C. Maximizing production efficiency
D. Ignoring customer expectations
Service function deployment helps in:
A. Maximizing production efficiency
B. Understanding customer needs and preferences
C. Ignoring customer feedback
D. Reducing service innovation
Which of the following is a challenge in services marketing?
A. Low competition
B. High level of standardization
C. Easy evaluation of service quality
D. Inability to store services
Service recovery strategies aim to:
A. Prevent service failures
B. Compensate customers for service failures
C. Eliminate service failures entirely
D. Punish employees responsible for service failures
Pricing of services based on customer value means:
A. Setting prices arbitrarily
B. Ignoring competitors' prices
C. Aligning prices with the benefits perceived by customers
D. Setting prices lower than production costs
Public utility services marketing primarily focuses on:
A. Maximizing shareholder value
B. Meeting regulatory requirements
C. Differentiating through product features
D. Minimizing customer interaction
Service channels refer to:
A. The physical distribution of service products
B. The various ways through which services are delivered to customers
C. The pricing strategies employed for service offerings
D. The communication methods used in service marketing
The service economy refers to an economy where:
A. Manufacturing dominates all sectors
B. Services play a crucial role in economic activities
C. Agriculture is the primary source of income
D. There is no need for service providers
What is the nature of services?
A. Tangible and easy to evaluate
B. Intangible and perishable
C. Unchanging and static
D. Physical and durable
What is service marketing?
A. Marketing of tangible products only
B. Marketing of intangible products only
C. Marketing of both tangible and intangible products
D. Marketing of physical products only
Which industry often utilizes experiential marketing to engage customers?
A. Public utility services
B. Educational services
C. Entertainment services
D. Information technology services
Which of the following is NOT a service recovery strategy?
A. Offering discounts on future purchases
B. Apologizing to the customer for the inconvenience
C. Ignoring the customer's complaint
D. Providing a free service upgrade
Financial services marketing primarily focuses on:
A. Tangible product offerings
B. Relationship building with customers
C. Standardization of services
D. Maximizing profit margins
What is a common challenge in marketing financial services?
A. Tangibility of products
B. Inseparability of production and consumption
C. High level of customer interaction
D. Building trust and credibility
New service development involves:
A. Replicating existing services
B. Developing services based on customer feedback
C. Ignoring market trends
D. Minimizing innovation
Service encounter refers to:
A. The interaction between the service provider and the customer
B. The physical location where services are delivered
C. The pricing strategies for services
D. The advertising campaign for a service
Integrated service marketing communication involves:
A. Communicating marketing messages through various channels consistently
B. Focusing solely on digital advertising
C. Sending promotional emails to potential customers
D. Creating catchy slogans for services
Which of the following is a characteristic of services?

A. Tangibility
B. Durability
C. Standardization
D. Perishability
Which of the following is NOT a characteristic of services marketing in the health industry?
A. Intangibility
B. Inseparability
C. Perishability
D. Tangibility
Which of the following is NOT a key component of logistics services marketing?
A. Supply chain optimization
B. Customer service excellence
C. Brand differentiation
D. Product tangibility
The service marketing triangle emphasizes the interdependence of:

A. Customers, employees, and competitors

B. Customers, employees, and technology
C. Customers, employees, and management
D. Customers, employees, and shareholders
Which of the following is NOT a component of the service marketing triangle?
A. Customers
B. Employees
C. External Environment
D. Products
In new service development, the business analysis stage involves:
A. Generating service ideas
B. Testing service prototypes
C. Evaluating the financial viability of the new service
D. Implementing the service
Which stage of the new service development process involves testing the service concept
with a small group of customers?
A. Concept development and screening
B. Business analysis
C. Prototyping
D. Test marketing
Which industry often uses subscription-based models as part of its marketing strategy?

A. Educational services
B. Financial services
C. Information technology services
D. Hospitality services
Servicescape refers to:
A. The physical environment where services are delivered
B. The documentation of service processes
C. The pricing strategies for services
D. The promotion of services through advertising
Which industry often faces challenges related to the perishable nature of its services?
A. Educational services
B. Financial services
C. Information technology services
D. Hospitality services
Which of the following is true about the nature of services?
A. Services are tangible and easily evaluated
B. Services are perishable and intangible
C. Services are static and unchanging
D. Services do not require customer interaction
In the hospitality industry, which of the following is a primary focus of service marketing
strategies?
A. Maximizing production efficiency
B. Building strong customer relationships
C. Lowering costs through automation
D. Standardizing service offerings
Service recovery is essential because:
A. It helps to reduce customer expectations
B. It demonstrates the service provider's commitment to customer satisfaction
C. It shifts blame to the customer for service failures
D. It increases employee turnover rates
What are some challenges and issues in services marketing?
A. Low competition
B. Lack of customer expectations
C. Difficulty in quality control
D. Shortage of service providers
The service economy primarily focuses on:
A. Manufacturing goods
B. Producing tangible products
C. Delivering intangible services
D. Importing raw materials
Which of the following is not a component of a service firms physical evidence?
A. Parking.
B. Employee appearance
C. Billing statements.
D. In-house process equipment
Integrated service marketing communication aims to:
A. Confuse customers with mixed messages
B. Use only traditional advertising methods
C. Ensure consistency in marketing messages across various channels
D. Keep communication channels separate
The GAP model of service quality identifies gaps between:
A. Customer expectations and employee perceptions
B. Customer perceptions and customer expectations
C. Employee perceptions and management expectations
D. Management expectations and service delivery
The 7 P's of service marketing include all EXCEPT:
A. Profit
B. Place
C. Process
D. Policy
What is the primary purpose of service market segmentation?
A. To treat all customers equally
B. To divide the market into distinct groups with similar needs
C. To maximize production costs
D. To minimize customer interaction
Targeting in service marketing involves:
A. Providing services to everyone in the market
B. Focusing on one specific market segment
C. Ignoring market trends
D. Maximizing production efficiency
Which industry typically relies heavily on word-of-mouth marketing for customer
acquisition?
A. Logistics services
B. Financial services
C. Entertainment services
D. Educational services
Service encounter is best described as:
A. The place where services are offered
B. The process of identifying market segments
C. The interaction between service providers and customers
D. The pricing strategy for services
Service blueprinting helps in identifying:
A. Customer needs
B. Potential revenue streams
C. Service failures
D. Cost-cutting opportunities
SERVQUAL dimensions for measuring service quality include all of the following EXCEPT:
A. Assurance
B. Reliability
C. Empathy
D. Profitability
Service are characterized by all of the following characteristics except for ……………. a.
A. Intangibility
B. Homogeneity
C. Perishability
D. Inseparability
Which of the following is not included in seven Ps of the marketing mix given by Booms and
Bitner?
A. Process
B. People
C. Politics
D. Physical evidence
People have to physically present themselves so that they become immersed within the
service process. This type of service process is referred to as
A. Possession processing
B. Physical processing
C. People process
D. None of these

This is when customers visit the service facility so that they are personally involved through
the service delivery process
a. Low-contact service
b. High contact service
c. Medium contract service
d. Information processing service
. ……………. Is based on the idea that customer expectations of the service they will receive
shape their perception of the actual service encounter.
a. Service action
b. Service satisfaction
c. Service recovery
d. Service quality
Select the name of the country having maximum percent of GDP attributed to service
a. United states
b. China
c. Germany
d. India

Which of the following is not an element of physical evidence?

a. Employee dress
b. Employee training
c. Equipment
d. Facility design
. …………… is deference between customer expectations and perception.
a. Customer delight
b. Customer satisfaction
c. Customer gap
d. Supplier gap
. ……………. Is defined as the caring, individualized attention that the firm provides its
customers
a. Empathy
b. Responsiveness
c. Sympathy
d. Assurance
Which of the following is not a type of service encounters?
a. Remote encounters
b. Phone encounters
c. Face to face encounters
d. Check in encounters
Intangibility, perishability, inseparability& variability are the characteristics of
a. Product
b. Service
c. Goods
d. Both A&B

Banking is the example of …………….

a. Production services
b. Business services
c. Consumer services
d. Govt. provided services
Medical treatment with ayurvedic massage is an example of
a. Production services
b. Business services
c. Consumer services
d. Govt. provided services

Which one of them not included in SERVQUAL model dimensions?

a. Reliability
b. Empathy
c. Assurance
d. Intangibility
Services that do not meet customer expectations are called
a. Service failures
b. Critical incidents
c. Servuction failures
d. Service recovery
Which of the following is not one of the five dimensions that is measured by the
SERVQUAL scale?
a. Tangibles
b. Employee satisfaction
c. Responsiveness
d. Assurance
…………… is example of a service where the customer typically goes to the service
organization
a. House painting
b. A credit card company
c. A taxi services
d. The theatre
Perception of performance – expectation gives us
a. Customer motivation
b. Customer service
c. Customer satisfaction
d. Customer performance
Service cannot be stored. This describes the ……………. Characteristic of services
a. Variability
b. Intangibility
c. Inseparability
d. Perishability
…………… describes the employees skill in serving the client
a. Internal marketing
b. External marketing
c. Interactive marketing
d. Relationship marketing
If a firm is practicing …………… the firm is training and effectively motivating its
customer-contact employees and all of the supporting service people to work as a team to
provide customer satisfaction
a. Double-up –marketing
b. Internal marketing
c. Interactive marketing
d. Service marketing
According to parasuraman, Zeithml and Berry, the most important determinate of service
quality
a. Responsiveness
b. Reliability
c. Assurance
d. Empathy
. ………….. is the tool for simultaneously depicting the service process, the point of
customer contact and the evidence of the service from the customer point of view
a. Front end planning
b. Service blue printing
c. Service standardization
d. None of these
Service scape refers to
a. Service landscape
b. Service factory
c. Place where the service is delivered
d. Beautiful landscape
Service sector comes under which sector of the economy?
a. Primary
b. Secondary
c. Tertiary
d. None of these
Which one is the reason behind the growth of services
a. Rapid urbanization
b. Changing role of women
c. IT revolution
d. All of the above
A person injured in a motor vehicle accident will have health care expenses paid by
a. Social insurance programs
b. Auto insurance
c. Employment-based insurance
d. Works compensation insurance
Managing the peak demand becomes difficult due to …………... nature
a. Intangibility
b. Perishability
c. Inseparable
d. Heterogeneous
SERVQUAL model was developed and implemented by the ……………..
a. Valarie Zeithamal
b. A Parasuraman
c. Leonard Berry
d. All of these
. …………… is a diagram/ map that visualize a service offering accurately
a. Service blueprint
b. Service action
c. Service recovery
d. None of these
Service blueprint first introduce by
a. Len Berry
b. Booms & Bitner
c. Philip kotler
d. G.Lynn shostack
The extended Ps of service marketing mix is
a. People, product, place
b. Price, physical evidence, promotion
c. Physical evidence, process, People
d. Product, process, physical environment
What is the basic property of a service which makes it different from a product?
a. Shape
b. Size
c. Very expensive
d. Intangibility
The service-quality model identifies………….. gaps that result in unsuccessful delivery.
a. 4
b. 3
c. 5
d. 6
As per service-quality model, the capacity to complete the promised service accuratelt and
dependably is ……………
a. Responsiveness
b. Reliability
c. Assurance
d. Empathy
As per service quality model, the willingness to assist customer and offer prompt service is
……………
a. Responsiveness
b. Reliability
c. Assurance
d. Empathy
At customer service interface, company intends to manage a relationship with a customer
through
a. Technology
b. People
c. Both a & b
d. None of the above
Service firms can increase quality control by
a. Making investment in good hiring
b. Standardize the service performance process
c. Monitor customer satisfaction
d. All of the above

The zone of tolerance is defined by the difference between

a Expected service and desired service.
b Predicted service and desired service
c Desired service and adequate service.
d Predicted service and perceived service

Evaluation of Medical Diagnosis service is mainly depends on ________.

A. High in experience quality
B. High in credence quality
C. High in search quality
D. Both a and c

All of the following are examples of services EXCEPT:

A. banking.
B. hotels and motels.
C. tax preparation.
D. computer software
Services are typically produced and consumed simultaneously. This is an example of the
________characteristic of services.
A. Intangibility
B. Variability
C. Inseparability
D. Simultaneously
Examples of pure tangible goods include all of the following EXCEPT:
A. Soap.
B. Tax preparation.
C. Toothpaste.
D. Salt.

The Service where customer goes and spends a lot of time meeting with the doctor and going
through a whole process of treatment is a typical example of:
a. A low contact service
b. A high contact service
c. No contact service
d. Equipment service
What does acronym STP stands for?
a. Service, Target, Position
b. Segmentation, Targeting and Positioning
c. Service encounter, Timing, Proposing
d. Segregating, Training, positioning

Intangible service acts which directed at the people usually provide______?

a. Mental stimulus
b. Need arousal
c. Satisfaction
d. Information
Which of the following is not a part 7P’s of marketing mix?
a. Product
b.People
c. Process
d. Perception

____________ is a name, a term, sign, symbol, or design, or a combination of them which is

intended to identify the services of one seller and to differentiate them from those of
competitors.
Service
Brand
Customer
Product
___________ is a set of assets and liabilities attached to the brand.
Brand Name
Brand Value
Brand Equity
Brand Ambassador
Which part of the pricing program focuses mainly on day to day management of price ?
Pricing objectives
Pricing structure
Pricing levels/ tactics
Competitor pricing

It is essential for service organizations to pay attention to the __________ aspects as it

generates revenues for the organization to support the profitability and sustainability
objectives.
Product
Place
Pricing
Process
__________ is a process by which you increase the visibility of your website and improve the
ranking, when customers are searching for relevant information and helps you drive traffic to
your website.
Search engine optimization
Search engine marketing
Pay-per-click
Email marketing

Which of the following is an example of an intangible

service?
A) Smartphone
B) Haircut
C) Book
D) Car
A ……………. Is a form of product that consist of activities, benefits, or satisfaction offered
for sale that are essentially intangible and do not result in the ownership of anything?
a. Service
b. Demand
c. Need
d. Physical object